Pradhan Mantri Viksit Bharat Rozgar Yojana:
The Prime Minister announced the Pradhan Mantri Viksit Bharat Rozgar Yojana.
- It provides direct cash incentives to eligible employees and employers to boost formal job creation.
- The scheme aims to support creation over 3.5 crore jobs in two years.
- Key Features of the Scheme:
- Part A – Support to First-Time Employees
- Targeting first-time employees registered with EPFO, this Part will offer one-month EPF wage up to Rs 15,000 in two installments.
- Employees with salaries up to Rs 1 lakh will be eligible for the incentives. The 1st instalment will be payable after 6 months of service and the 2nd instalment will be payable after 12 months of service and completion of a financial literacy programme by the employee.
- To encourage the habit of saving, a portion of the incentive will be kept in a deposit account for a fixed period and can be withdrawn by the employee at a later date.
- Part B – Incentives for Employers:
- This part will encourage generation of additional employment in all sectors, with a special focus on the manufacturing sector.
- The employers will get incentives in respect of new employees with salaries up to Rs 1 lakh.
- The Government will incentivize employers, up to Rs 3000 per month, for two years, for each additional employment, sustained for at least six months.
- For the manufacturing sector, incentives will be extended to the 3rd and 4th years as well.
- Part A – Support to First-Time Employees
- Incentive Payment Mechanism: All payments to the First Time Employees under Part A of the Scheme will be made through DBT (Direct Benefit Transfer) mode using Aadhar Bridge Payment System (ABPS). Payments to the Employers under Part B will be made directly into their PAN-linked Accounts.
- An important outcome of the Scheme will also be formalization of the country’s workforce by extending social security coverage for crores of young men and women.
